Apple is considering moving iPhone assembly for the U.S. from China to India.

BarcelonaApple is considering moving the assembly of all iPhones it sells in the United States from China to India next year. as it has advanced this Friday, Financial Times. This decision is a consequence of the trade war started by President Donald Trump, which has forced the tech giant to rethink its production. Thus, the company will change its supply chain so that the more than 60 million cell phones it sells each year in the US will leave India by the end of 2026. According to the newspaper, the goal would mean doubling iPhone production in India, after almost two decades in which Apple X has become a $3 trillion technological colossus. China, where Apple manufactures most phones through third parties such as Foxconn, will suffer Trump's highest tariffs, which could reach up to 245% on some products. However, the Republican has also hinted that he would be willing to negotiate with Beijing. The announcement of the new tariffs caused Apple to lose $700 billion in market value. That's why the company has now rushed to export iPhones manufactured in India to the US to avoid tariffs on China.

This move comes after Apple has already increased its production capacity in India in recent years, through contracts with companies such as Tata Electronics and Foxconn, although today it still manufactures most of its phones in China, explains the Financial TimesiPhone assembly is the final step in the production process, when the hundreds of components that make up the device are put together, and for which Apple still relies heavily on Chinese suppliers.

Dodge tariffs

Trump initially announced reciprocal tariffs of more than 100% on imports from China, but later offered a temporary reprieve for phones mobile phones and computers. These devices are still subject to another 20% tariff applied to all imports from China. Separately, the business daily notes that India has received a so-called reciprocal tariff of 26%, although this levy is also on hold while the Indian government pushes for a bilateral trade agreement with the US. During a visit to India this week, US Vice President JD Vance said both countries were making "very good progress."

In 2024, according to data from the International Data Corporation, the United States accounted for nearly 28% of the 232.1 million iPhones Apple shipped worldwide. To meet all US demand from India, however, Apple will have to further expand its production capacity in the country. While trying to increase manufacturing in this market, the tech giant already began importing pre-assembled component sets from China through Foxconn and Tata last year.

"We believe this will be an important move for Apple to maintain its growth and momentum," says Daniel Newman, executive director of the research firm Futurum Group, in Financial Times. "We're seeing in real time how a company with these resources is moving at a relatively light speed to address the tariff risk," he adds.

Apple will report its quarterly results next week, and investors are eager to understand the impact of Trump's tariff plans on the company's bottom line. So far, the company hasn't offered any earnings guidance and has refrained from commenting on the tariffs. CEO Tim Cook has been in regular contact with the US president and his administration since attending his inauguration in January.